Welcome to DU! The truly grassroots left-of-center political community where regular people, not algorithms, drive the discussions and set the standards. Join the community: Create a free account Support DU (and get rid of ads!): Become a Star Member Latest Breaking News General Discussion The DU Lounge All Forums Issue Forums Culture Forums Alliance Forums Region Forums Support Forums Help & Search

dalton99a

(81,514 posts)
Tue Jul 5, 2022, 08:43 AM Jul 2022

Republican states are trying to use federal covid aid to cut taxes

https://www.washingtonpost.com/us-policy/2022/07/05/republicans-tax-cuts-stimulus/
https://archive.ph/L9WKA

Republican states are trying to use federal covid aid to cut taxes
In Florida and elsewhere, GOP leaders have sued to tap pandemic funds for tax cuts, defying the Biden administration
By Tony Romm
July 5, 2022 at 6:00 a.m. EDT

As gas prices climbed toward record highs this May, Florida Gov. Ron DeSantis (R) secured a pause on the state’s fuel taxes — a $200 million plan he helped pay for with a pot of federal funds awarded earlier in the pandemic.

The policy was intended to save money for local drivers and state coffers alike. But it also appeared to mark a potential violation of federal law — and the latest skirmish in an escalating clash between GOP officials and the White House over how states can use generous federal stimulus dollars.

More than a year after Congress approved a $1.9 trillion coronavirus relief package, Republicans in nearly two dozen states have ratcheted up efforts to tap some of those funds for an unrelated purpose: paying for tax cuts. The moves have threatened to siphon off aid that might otherwise help states fight the pandemic, shore up their local economies or prepare for a potential recession.

The intensifying Republican campaign targets one of the signature programs Democrats approved as part of President Biden’s American Rescue Plan last year. At the urging of the nation’s mayors and governors, Congress delivered what largely amounted to a blank check for every city and state to bolster their budgets.

Congress ultimately laid down few conditions for how local leaders could use the pot of money, which totaled $350 billion nationally. But they were clear about one thing: The federal government would not subsidize state tax cuts. Lawmakers led by Sen. Joe Manchin III (D-W.Va.) said at the time that Washington should not be on the hook to pay for reductions in state tax revenues, since that could leave major budget holes once federal aid ran dry.
3 replies = new reply since forum marked as read
Highlight: NoneDon't highlight anything 5 newestHighlight 5 most recent replies
Republican states are trying to use federal covid aid to cut taxes (Original Post) dalton99a Jul 2022 OP
California is giving a thousand dollars per person jimfields33 Jul 2022 #1
Governor Justice of West Virginia announced the doc03 Jul 2022 #2
And yet WV is one of the poorest states in the Union . . ..... Lovie777 Jul 2022 #3

jimfields33

(15,818 posts)
1. California is giving a thousand dollars per person
Tue Jul 5, 2022, 08:49 AM
Jul 2022

I’d rather see states do this. Money into pockets immediately rather then months from now through tax cuts.

doc03

(35,344 posts)
2. Governor Justice of West Virginia announced the
Tue Jul 5, 2022, 08:49 AM
Jul 2022

largest budget surplus ever in WV last week, I think $1.6 billion?

Lovie777

(12,274 posts)
3. And yet WV is one of the poorest states in the Union . . .....
Tue Jul 5, 2022, 09:21 AM
Jul 2022

Air quality will be the worst, and miners will suffer and die of the poison going into the air from the coal mines. Mississippi has a methane problem which is going into their atmosphere and yet they want to cut taxes with no concerns on the cost of their contingency health and well being.

Latest Discussions»General Discussion»Republican states are try...